Episode 61: Commercial Property Break Clauses Explained – What Every Investor Must KnowBreak clauses play a critical role in commercial leases and can have a major impact on value, risk, and deal structure.
In this episode of the Commercial Property Podcast, Suzi Carter explains exactly what commercial property investors need to know about break clauses before buying, refinancing, or negotiating a lease.
Suzi explores how break clauses work in practice, why valuers take a cautious approach to them, and how a lack of understanding can lead investors to overpay for property or underestimate risk. She also explains the different types of break clauses and the specific conditions that must be met for a break to be valid — an area that often causes costly surprises.
This episode is essential listening if you want to invest with greater clarity, confidence, and control.
Key Learning OutcomesBy the end of this episode, you'll understand:
What break clauses are and why they matter in commercial leases
How break clauses work in practice — not just in theory
The differences between:
Tenant-only break clauses
Landlord break clauses
Mutual break clauses
The conditions tenants or landlords must meet to successfully exercise a break
How break clauses affect property valuation and lender decisions
Why careful lease analysis is essential to managing investment risk
Essential Commercial Property InsightsBreak clauses allow leases to end early under defined conditions
Valuers usually assume tenants will exercise break clauses when assessing value
Property valuation is often based on the lease term up to the next break date
Reviewing lease terms thoroughly can prevent costly mistakes
Talking to tenants can provide valuable insight into their business position
Different break clause structures lead to very different investment outcomes
Want Clarity, Confidence & a Practical Plan for Early 2026?If regulation feels overwhelming — or you're unsure how to move forward confidently — join Suzi Carter for The Commercial Property Blueprint Day.
This full-day online training gives you a clear, structured roadmap so you can take action without second-guessing.
A personalised commercial property sourcing strategy
The skills to confidently analyse commercial property deals
A step-by-step action plan for early 2026
The confidence to move forward decisively — even in a changing market
Secure your place here:
https://hub.
Listen & Watch More
YouTube: https://www.youtube.com/@commercialpropertytv1685
Podcast: https://commercialpropertypodcast.libsyn.com/
